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Reliance Retail begins procurement in Kerala

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Advantage farmers
Farmers get maximum benefit for their produce since collection is done directly by the company.
Each collection centre would have V-SAT facility to give the latest cultivation, market and price information.

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Bharat Matrimony

Kochi Feb. 11

Reliance Retail has commenced its fruits and vegetables procurement activities from the farmers in Kerala. To start with the company has procured 3,374 kg of mango ginger and 150 kg of tender jack from Nadavayal in Wayanad district, a press release issued here said.

The plans of Reliance Retail to open Reliance Fresh stores in Kerala during January has now been postponed to April, sources in the company said. It has plans to open four to five such stores in Kochi.

Collection Centre

Currently, fruits and vegetables are procured directly from the farmers in the State and delivered at Reliance Retail's collection centre at Devanahally in Bangalore. The farmers group received Rs 7 per kg for mango ginger and Rs 6 per kg for tender jack compared with the prevalent local rate of Rs 3 and Rs 2 respectively at the local markets, the release said.

The procurement and delivery is being done with the help of Wayanad Agricultural Consortium, which is a farmers group located in the district. Farmers are receiving maximum benefit for their produce since collection is done directly by the company and the delivery is undertaken directly by the farmer.

With an average holding size of 0.25 hectares, Kerala's farmers were often unable to go in for marketable production. Thus lack of proper marketing support for perishable items like fruits and vegetables was proving to be a major problem for the State's farmers. Reliance is now encouraging group approach in cultivation so that farmers can produce marketable surplus and have better bargaining power in marketing their produce.

Farmer Groups

To assist the farmers in selling their product at fair price, Reliance is going to set up collection centres at various districts in Kerala. The farmers or farmer groups can sell their produce at these collection centres without paying any type of commissions and can realise spot payment for their produce, the release said.

Each collection centre will be equipped with electronic weighing balances, crates, sorting tables and the service of qualified agricultural experts to give technical support to the farmers. There would be V-SAT facility at each collection centre to give the latest cultivation, market and price information.

These collection centres are expected to act as knowledge hubs and product pooling centre for the farmers of Kerala. In the first phase Reliance is planning to set up collection centres in Ernakulam, Kottayam, Idukki, Palakkad and Malappuram districts.

More Stories on : Retailing | Horticulture/Fruits & Vegetables | Reliance Industries Ltd | Kerala

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